EUR/JPY is trading around 183.10 on Tuesday at the time of writing, down 0.10% on the day, as the Euro (EUR) weakens modestly against the Japanese Yen (JPY) in an environment of generally fragile market sentiment. Currency traders remain torn between continued uncertainty over Japanese monetary policy and relatively supportive conditions for the single currency.
Bank of Japan (BoJ) Governor Kazuo Ueda confirmed on Monday that the central bank will continue to raise interest rates if economic developments and prices develop in line with his expectations, pointing to a continuing sustainable inflation cycle. However, most analysts believe the next rate increase is unlikely to happen before mid-year, once spring wage negotiations confirm strong wage growth. This uncertainty continues to limit the Japanese yen’s ability to achieve a significant recovery.
On the European side, the euro is affected by macroeconomic indicators released earlier today. The eurozone HCOB services PMI was revised slightly lower to 52.4 in December, indicating a moderate slowdown in services activity momentum, while the December HCOB composite PMI was also revised down to 51.5 from an initial estimate of 51.9, reinforcing signs of weaker overall activity across the bloc.
Markets await the release of the German Consolidated Consumer Price Index (HCPI) for December. A strong inflation reading, with CPI interest rates expected to rise 0.4% m/m, could provide some support to the euro in the near term.
The global geopolitical environment also remains a major factor in currency markets. Rising tensions between Russia and Ukraine continue to weigh on sentiment surrounding the euro, as the eurozone remains highly dependent on Russian energy imports. Meanwhile, the recent escalation in Latin America, following a large-scale US military operation against Venezuela, has heightened broader geopolitical uncertainty, which is supporting the Japanese yen, which is seen as a safe-haven asset.
Euro price today
The table below shows the percentage change of the Euro (EUR) against the major currencies listed today. The euro was the strongest against the Swiss franc.
| US dollars | euro | GBP | JPY | Canadian | Australian dollar | New Zealand dollar | Swiss franc | |
|---|---|---|---|---|---|---|---|---|
| US dollars | 0.09% | 0.06% | 0.02% | 0.00% | -0.03% | -0.01% | 0.16% | |
| euro | -0.09% | -0.03% | -0.09% | -0.08% | -0.09% | -0.07% | 0.07% | |
| GBP | -0.06% | 0.03% | -0.06% | -0.06% | -0.09% | -0.07% | 0.10% | |
| JPY | -0.02% | 0.09% | 0.06% | 0.00% | -0.03% | -0.02% | 0.16% | |
| Canadian | -0.00% | 0.08% | 0.06% | -0.00% | -0.03% | -0.02% | 0.16% | |
| Australian dollar | 0.03% | 0.09% | 0.09% | 0.03% | 0.03% | 0.02% | 0.19% | |
| New Zealand dollar | 0.00% | 0.07% | 0.07% | 0.02% | 0.02% | -0.02% | 0.17% | |
| Swiss franc | -0.16% | -0.07% | -0.10% | -0.16% | -0.16% | -0.19% | -0.17% |
The heat map shows the percentage changes in major currencies versus each other. The base currency is chosen from the left column, while the counter currency is chosen from the top row. For example, if you select EUR from the left column and move along the horizontal line to USD, the percentage change displayed in the box will represent EUR (base)/USD (quote).
